NC S405

Increases Medicaid funding from $600 million to $690 million in recurring General Fund appropriations for the Division of Health Benefits, beginning with FY 2025-2026, to cover projected enrollment changes, service costs, and the Children and Families Specialty Plan implementation in December 2025

Requires four local management entities/managed care organizations (LME/MCOs) to make intergovernmental transfers totaling $18,028,217 annually to the Division of Health Benefits for each year of the 2025-2027 biennium

Reduces single-stream funding for mental health, developmental disabilities, and substance use services by $30 million in recurring funds, with $14 million offset by transfers from the Opioid Abatement Reserve

Mandates DHHS eliminate vacant positions by January 1, 2026, to achieve $33,986,530 in recurring General Fund savings annually, with the largest reductions ($23.6 million) from the Division of Mental Health/Developmental Disabilities and State Operated Healthcare Facilities

Reduces Future Building Reserves by $42,206,909 in recurring funds for each year of the 2025-2027 fiscal biennium